Sunday, April 8, 2018

April 8, 1918 - AT&T and a cold

Mary had the blues again today, perhaps made worse by catching a cold.  She also mentions working for AT&T.

AT&T was nationalized for a short time starting in 1918: "Around 1917, the idea that everyone in the country should have phone service and that the government should promote that began being discussed in government. AT&T agreed, saying in a 1917 annual report: 'A combination of like activities under proper control and regulation, the service to the public would be better, more progressive, efficient, and economical than competitive systems.' In 1918 the federal government nationalized the entire telecommunications industry, with national security as the stated intent. Rates were regulated so that customers in large cities would pay higher rates to subsidize those in more remote areas. Vail was appointed to manage the telephone system with AT&T being paid a percentage of the telephone revenues. AT&T profited well from the nationalization arrangement which ended a year later. States then began regulating rates so that those in rural areas would not have to pay high prices, and competition was highly regulated or prohibited in local markets. Also, potential competitors were forbidden from installing new lines to compete, with state governments wishing to avoid "duplication." The claim was that telephone service was a 'natural monopoly,' meaning that one firm could better serve the public than two or more. Eventually, AT&T's market share amounted to what most would regard as a monopolistic share." (Wikipedia)

Mary mentions much later in the diary using camphor for a respiratory infection.  Advertisements for treatments or cures, even though more regulated today, were not much different in 1918, especially when containing natural ingredients.  This from the April 5, 1918 The Philadelphia Inquirer:

 




No comments:

Post a Comment